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  • FIRST POST
    • frugal90
    • By frugal90 10th May 15, 6:31 AM
    • 247Posts
    • 160Thanks
    frugal90
    3,4 or 5 year journey to financial freedom
    • #1
    • 10th May 15, 6:31 AM
    3,4 or 5 year journey to financial freedom 10th May 15 at 6:31 AM
    Anyone in the same boat please share your steps. Maybe we can help motivate, share good ideas to get to our targets.

    Me and spouse will retire ( we hope) in 2018/19 or 20. I will be 56/57 or 58 and wife will be50/51 or 52. We aim to use sipps/isas/savings to cover until I am 60 when my public service pension will start. My wife will also take her public service pension when 60. I will have 36.5/37.5 or 38.5 years in an 1/80 th scheme, so will get 36.5/80 x salary currently 42k +3xpension as tax free lump. Mrs will have 26.5/80 x42k + 3x pension tax free lump.

    We have no debts and achieving financial freedom has become number one aim. We have a target of 400k for Sipps/isas and currently have about 270k mostly in equities. Our plan is to save 2.5k per month if not more into sipps/isas and once we hit 400k we,'ll bail out. We plan to be seriously frugal to achieve our aim. We don't have an expensive lifestyle, enjoy the best free things in life but need more time. We plan to cycle tour/walk/ garden etc

    If you want to join us on our journey and have similar timescales the please join us.

    Frugal
Page 6
    • robin61
    • By robin61 3rd Jul 18, 9:53 PM
    • 657 Posts
    • 481 Thanks
    robin61
    Nice to see you've reached the finish line.
    • frugal90
    • By frugal90 14th Sep 18, 9:14 PM
    • 247 Posts
    • 160 Thanks
    frugal90
    Still waiting for my tax rebate for this year before I share my final fire numbers. Feels great to be in control of every hour of every day.
    • bostonerimus
    • By bostonerimus 14th Sep 18, 9:45 PM
    • 2,268 Posts
    • 1,567 Thanks
    bostonerimus
    Congratulations on Financial Independence. It's a little scary to be out there sailing all on your own, but after a few months you'll get use to it. Having a pension coming in makes things a lot simpler as it takes some pressure of your other investments.....you can be a bit blase when the markets turn south knowing that a monthly cheque is coming in .
    Misanthrope in search of similar for mutual loathing
    • atush
    • By atush 15th Sep 18, 4:09 PM
    • 17,180 Posts
    • 10,742 Thanks
    atush
    I missed your post in July as I was in France (w/o the wifi signal promissed!).

    Will look forward to the numbers. What have you done so far in your 2 months of retirement?
    • frugal90
    • By frugal90 15th Sep 18, 5:13 PM
    • 247 Posts
    • 160 Thanks
    frugal90
    final numbers coming soon, just waiting for my tax rebate to come in.

    quick response to the other question,

    my wife had an ankle injury just before we finished, so we have been getting that sorted. It is much better now fortunately but has taken a while and lots of physio. Have lost 4kg in weight through being more physically active, bought a new camera, cycle every day to the pool then swim a mile and also enjoy a jacuzzi/papers etc, joined a choir, learning spanish with the u3a, been camping, climbing mountains, gardening, jam making, wine making, house maintenance, catching up with family and friends. Never really a dull moment to be honest. Blood pressure also down quite a bit. Going off for 6 weeks come October to a warmer place and planning adventures for next year. Life is very very good away from the chalkface.
    • westv
    • By westv 15th Sep 18, 7:11 PM
    • 4,620 Posts
    • 2,218 Thanks
    westv
    Re the U3A, I looked up local ones the other day but I'm not quite sure if it'd be my sort of thing when I get more free time sometime between early 2019 and 2021.
    The photos showed people who liked quite old (don't mean to be rude!) and some of the activities seemed focused on older people.
    • atush
    • By atush 15th Sep 18, 10:08 PM
    • 17,180 Posts
    • 10,742 Thanks
    atush
    final numbers coming soon, just waiting for my tax rebate to come in.

    quick response to the other question,

    my wife had an ankle injury just before we finished, so we have been getting that sorted. It is much better now fortunately but has taken a while and lots of physio. Have lost 4kg in weight through being more physically active, bought a new camera, cycle every day to the pool then swim a mile and also enjoy a jacuzzi/papers etc, joined a choir, learning spanish with the u3a, been camping, climbing mountains, gardening, jam making, wine making, house maintenance, catching up with family and friends. Never really a dull moment to be honest. Blood pressure also down quite a bit. Going off for 6 weeks come October to a warmer place and planning adventures for next year. Life is very very good away from the chalkface.
    Originally posted by frugal90

    That doesnt sound like 2 months- sounds like 2 years lol
    • robin61
    • By robin61 16th Sep 18, 8:28 AM
    • 657 Posts
    • 481 Thanks
    robin61
    Re the U3A, I looked up local ones the other day but I'm not quite sure if it'd be my sort of thing when I get more free time sometime between early 2019 and 2021.
    The photos showed people who liked quite old (don't mean to be rude!) and some of the activities seemed focused on older people.
    Originally posted by westv
    We popped into my local U3A monthly meeting. Decided not to stay for the same reason. I'm 57 my wife is 56 and we were a lot younger. It seemed to be very well attended though. Perhaps we should have given it more of a chance but just felt it wasn't for us.
    I've only been retired now for a few weeks and am keeping pretty busy anyway. It's taken a few weeks to get into the swing of it but I'm feeling a lot more relaxed than when I was working.
    • frugal90
    • By frugal90 16th Sep 18, 2:45 PM
    • 247 Posts
    • 160 Thanks
    frugal90
    Right atush, our final numbers albeit an estimate for my tax rebate. Me 56 and wife 50.

    Total portfolio 576 139 + two teachers pensions to come down the line.

    We have to cover between now and May 2022 when my teachers pension kicks in. Should be just over 20 K pa and lump of 60K.

    We plan to do this with cash holdings. I have a SIPP of 80K (in cash) which I will drawdown from the beginning of April 2019. I will draw down 26667 each year on a monthly basis which should net me about 2 K per month after tax.

    We each have an ISA, mine 124107 and my wife's 128194- mostly income bearing IT's.

    We are also holding 153000 in cash. We plan on taking 12k per year from this and maybe more for some adventures. If there is a crash then some of the cash will be used to buy income bearing Investment trusts.

    At age 60 I'll use my pension and lump and cash to take us through to my wife hitting 55 when we'll draw here SIPP, currently invested and sitting at 90.3K. Then she'll take her teachers pension five years later at 60- should be about 16 K per year.

    We pan to buy the shortfall in NI years to max out the state pension.

    All feels good at the moment and not missing the job one little bit.

    regards
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